CHANGE: ROLES & MODELS

1. CHANGE: ROLES & MODELS Jim Clawson Darden Graduate School of Business University of Virginia

2. Where does change begin? • BEHAVIOR • CONSCIOUS THOUGHT • VABEs (values, assumptions, beliefs, and expectations)

3. Study of New General ManagersJack Gabarro, HBS, HBR • 12 in USA • 12 in Europe • From within • From without • Into situations needing change • Into situations not needing change • What was the level of significant organizational change introduced?

4. TAKING CHARGE Number of Significant Changes 0 6 12 18 24 30 36 Time in Months Adapted from Jack Gabarro, Dynamics of Taking Charge, HBS Press

5. Taking Charge • Taking Hold: picking the low hanging fruit • Immersion: learning what else to do • Reshaping: major change efforts • Consolidation: settling in • Refinement: fine tuning The Dynamics of Taking Charge, Jack Gabarro, Harvard Business Review, May-June 1985

6. Change Roles • Change Agent • Change Leader • Change Manager • Change Model • Change Recipient • Scapegoat

7. Intellectual Intelligence (IQ) • Genetically endowed • Environmentally Encouraged • Focus of Most School Work • Processing Power • Curiosity • Discipline

8. Emotional Quotient (EQ) • Recognizing your own emotions • Managing your Emotions • Self Talk to get out of Emotional Hijackings • Paying Attention-Self Awareness Adapted from Daniel Goleman, Emotional Intelligence, Bantam, New York, 1995

9. Social Quotient (SQ) • Recognizing the emotions of others • Empathy • Caring • Listening • Skill in Coaching & Resolving Conflicts

10. Change Quotient (CQ) • Recognizing the need to change • Emotional comfort with change • Understanding the Change Process • Skills in Leading the Change Process

11. Change and Learning In a world of change, learners will inherit the earth, while the learned shall find themselves perfectly suited for a world that no longer exists. Eric Hoffer, Ordeal of Change

12. “Ten short years.... the one thing that we have done consistently is to change .... It may seem easier for our life to remain constant, but change, really, is the only constant. We cannot stop it and we cannot escape it. We can let it destroy us or we can embrace it. We must embrace it.” Michael Eisner Disney 1994 Annual Report

13. Models of Change • Kurt Lewin • Michael Beer • John Kotter • Tim Gallwey • MIT Model • Elizabeth Kubler Ross • Jim Clawson

14. Kurt Lewin • Unfreeze • Retrain • Refreeze

15. Beer’s Leading Change Cp = D x M x P > C Cp = Probability of Change D = Dissatisfaction with Status Quo M = Clear Model or Vision of the Future P = Clear Process for Managing the Change C = Cost of Making the Change from Leading Change, Michael Beer, HCS

16. Kotter’s 8 Errors in Leading Change • Allowing complacency • Failing to create a guiding coalition • Underestimating the power of vision • Under-communicating the vision by 10, 100, or 1000 • Allowing Obstacles to block the vision • Failing to create short-term wins • Declaring victory too soon • Neglecting to anchor changes in culture From Leading Change, John Kotter, HBS Press, 1996.

17. Kotter’s Eight Stage Process for Creating Transformation • Establish a sense of urgency • Create a guiding coalition • Develop strong vision and strategy • Over communicate the vision and strategy • Redesign to encourage broad-based action • Generate short-term wins • Consolidate gains in redesign and HR • Anchor changes in the culture Adapted from Leading Change, John Kotter, HBS Press, 1996

18. Inner Game of Change Self 1 (Shoulds) and Self 2 (Inner Self) • Select the right measures • Focus attention and see what happens • Listen to Self 2 Adapted from Tim Gallwey, Inner Game of Work

19. Stages of Change • Feeling Unsettled: Something isn’t right. • Denial: It’s not that bad. • Facing the Present: I see things as they are. • Letting Go: The past isn’t working; the future is unclear. • Envisioning: I know what I want. • Exploring new Options: Maybe I can do it. • Committing to Action: I can do it. • Integrating the Change: I am doing it. Adapted from From Chaos to Confidence, Susan Campbell, Simon & Schuster, New York, 1995

20. DENIAL Emotional Pendulum of Change Disconfirming Data Adapted from Elizabeth Kubler-Ross

21. Denying the Message Denying the Messenger DENIAL Denying One’s Ability to Do Anything Denying the Relevance of the Message

22. Emotional Pendulum of Change Disconfirming Data DENIAL ANGER BARGAINING DESPAIR EXPERIMENTATION HOPE INTEGRATION

23. L L L L L L NEW BASELINE CLAWSON’SGENERAL CHANGE PROCESS CONFIRMATION EXPERIMENT SEARCH FOR ALTERNATIVES NEW DATA DISCON- FIRMING Change from Baseline BASELINE BEHAVIOR ENTHUSIASM ENGAGEMENT LEARNING HURT or PAIN DENY DISTORT DISCOUNT IGNORE CURRENT COMFORT ZONE Discon- firming Data ENCOUNTER NEW DATA CONFIRMING DATA

24. Problem Leadership LEADERSHIP ACTIVITY Questions Answers Problem Solving Old New Problem Finding New Old Problem Creating New New Adapted from Pathfinding by Harold Leavitt, 1995

25. 5 P’s of Leading Change PAIN AND PURPOSE FOR CHANGE PICTURE OF WHERE TO GO PART FOR EACH TO PLAY PLAN HOW TO GET THERE

26. Key Leadership Initiatives LEADER RELATION- SHIPS STRATEGY ORGANI- ZATION Leading Change